Economic Questions
Economic Questions collect economic questions for 5 XP points. 10 XP for when the questions are answered and accepted. Clan Finance # Who owns our home loan? #* The creditor of Orochimaru's estate is the tower, who sold the estate to Jiraiya to recover part or all the debt. # How much does the Tower have for seals/month? #* According to Rihaku's estimate, the sealing budget is 29.9 million ryo per month. # When does the monthly seal budget refresh? (To have someone camping out.) #* First of every month, for simplicity. # How many hours (and what other things) did we get as part of Keiko’s bride price? # Shikaku died before the wedding, so are a large portion of the hours worthless (because they would have been his)? Or would they be hours from “The Nara head,” so as to prevent problems like this from arising? #* We got the dowry once the marriage went through. Once the deal had been made and followed through, the Nara won't screw us over due to counterproductive harm to their reputation. # How much money Naruto has from his inheritance and ongoing management of that wealth? #* All this information is based on Rihaku's modeling work. See Rihaku's analysis on Naruto's finance. #* We begin by assuming Minato's reign as hokage last a short two years and that all his income before his kageship are insignificant. Him being the greatest sealmaster in the world also add to his income. This gives him 250 million ryo instead of the 500M ryo used in Rihaku's analysis. Adding the Uzumaki wealth, which is estimated to be 360 million ryo, giving Naruto's estate an estimated 610 million ryo. The Kyuubi's rampage destroyed 8% of the city, so Naruto's wealth took a proportionate hit of 85 as well.Chapter 124 Assuming Jiraiya and/or Hirzuen gave Naruto a competent money manager, his wealth will have an assumed 5% compound interest growth. #* 610,000,000 * 0.92 = 561,200,000 #* Using the formula: A = P(1 + r/n)^(nt): 561,200,000(1 + 0.05/1)^(1*13) = (1,058,226,298.67 ryo, best case estimate) #* Thus, Naruto's fortune should be worth about 1 billion ryo. #* If we assume that reparation is paid out for the damage, let's assume 24%(Triple of 8% damage). #* 610,000,000 * (1 - 0.24) = 653,600,000 #* 463,600,000 * (1 + 0.05/1)^(1*13) = (874,186,942.381 ryo, reparation/donation estimate) #* For an even more pessimistic estimate, let us assume that the Uzumaki are flat broke, giving Naruto only 250 million ryo. Perhaps the interest rate isn't as great as we think it is. Instead of 5%, it's 3%. #* 250,000,000 * (1 + 0.03/1)^(1*13) = (367,133,428.363 ryo, pessimistic estimate) #* For liquid cash, use 5% of whatever we think Naruto have. # How much money is Naruto getting from missions? # How much money does Naruto have from Jiraiya's stash? # Income/expense from Jiraiya's spy network and business connection. # How much money are we getting From Kenta's business? #* Rihaku indicated that a prosperous and very successful civilian can make 50,000R. We believe that based on our scant observation of Kenta's living standard that he is probably a moderately successful businessman, so he makes abut 30,000 Ryo with his wife's skills adding an additional 5-10K. # How much did we invested or plan to invest in Kenta's business? #*Kenta and his wife are planning to move to a bigger storefront, presumably to a higher end district. They were also hiring more employees. We don't know the specific cost of each components, but it's probably safe to say that they don't need more than 300K ryo, ten years worth of income for Kenta's business. 3 years worth of income seems reasonable to us for capital expenditure, so 30K ryo will be invested. # How much would it take to invest in Kenta expanding into construction and hiring the necessary skilled labor? #* We guesstimate it will cost 30K ryo for Kenta to expand into a new business section, same as investing in Kenta's existing business. Business # Our salt production rates, sale price, and other major factors in the enterprise. # Ditto with ice. Land # Who owns the land around Leaf/how much/how far out? # Who owns the random land farther from the major villages? #* Rural nobility ranging from hilltop nobility to a yeomen. Peasant don't normally own land(in which case, they will become petty nobles). # What is the price of said land? (Both closer to Leaf and farther) # Is land ownership transferred around much? #* No. Land are usually inherited for the rural nobility. Land sale only happened when there are no claimant or the remaining claim are too weak before such land could be auctioned. # Between which parties, in what volume, at what frequency? (trying to determine how much new supply the market can bear) #* The eldest son usually inherit the land, while the other sons find new vocations or new farmland. As such, the usual party is the Fire daimyo selling off lands that have no claimants or that their inheritance is dead. During peacetime, it is expected that volume are low. Only after war do land sale volumes pick up. # What are Akatsuki's going rates again? Was that 23 milion ryo for land clearing mission figure pure profit or was it just the income? Socioeconomic # How often are settlements created/destroyed? # What has historically motivated civilians to resettle? #* Famine, destruction of settlements by chakra beast, sometime ninja for the same reason. Very rarely, population growth pressure(the 7th son getting the boot). If peasants are lucky, rural nobility supporting land expansion for more farmlands, sometime resettling abandoned settlements. Taxation # How are craftsmen/merchant civilians taxed? (e.g. that luxury clothes shop owner. Still subsistence?) #* According to Rihaku once again, Urbanites are taxed 70% above subsistence level at R4,240. # How are civilian clan members taxed? #* Once again, Rihaku came to the rescue. Easiest answer is that the civilians clan members are effectively untaxed. #* Next easiest answer is that they are taxed like regular civilians. #* There may be gaming law and complication in the tax code that could be exploited. In which case, clan civilian are probably taxed at 50%. #* Note: The model does not suggest how taxation is done. There is probably no income tax or any complicated taxation scheme. Leaf (The City) # Has the encircled territory of Leaf ever expanded/contracted? #* Expansion of the population and economy of Konoha did mean additional industries outside the wall of Konoha, but not enough to warrant annexation of additional lands under the direct control of the city since Konoha was initially overbuilt to accommodate future growth. # How many taverns can Leaf support? #* Google suggested an extremely variation from 2 to 400 bars per 100,000 for modern cities. However, there's no such statistics that we can find for medieval era bar per capita. #* Leaf is obviously not a dry town, but we lack a sense of 'scale'. However, we can do estimates for various level of alchool consumption. #* 10 per 100,000 individuals. 10 * 30,000 / 100,000 = 3 bars. Very low. #* 50 per 100,000 individuals. 50 * 30,000 / 100,000 = 15 bars. Moderate? #* 100 per 100,000 individuals. 30 bars. High. #* And so forth. # How do loans and defaults work in Leaf? #* Loans are a contract, you get something in exchange for repayment. Standard loans work like modern loans, with compounding interest (amount variable) which you pay off along with the principal over the lifetime of the loan. #* Defaults get you thrown in debtors prison (you are forced to work in slave conditions until the debt is paid off); for ninja this will mean being forced to take missions for no pay until the debt is paid off. This is also why loans are typically only given by the Tower/Major clans to other clans: It is unlikely the entire clan will die in the process of being forced to repay the loan. (Sealmasters can instead be pressed into a seal production factory that obviously doesn't exist.) Sealing # Tower classifications for Air Domes, Usumatsu's, explosive seals #* All genin? If Hazo can infuse those seals, then it is genin level. # Open market value for explosive seals #* Tower price is 250, so increase it a little for incentive; 300 each. In a pinch people will pay more, but it is generally not worth it. # Typical sealmaster tendencies before skywalkers became a thing and how that changed with skywalkers (relevant for, at least, talk about how many skywalkers we can sell to the tower before they run out of money for it) #* The highest grade seal they can produce (if multiple choose one, it doesn't matter for our purposes) or whatever the tower asks/wants them to via increased bounties for said seals, if multiple make the most valuable. #* Skywalkers made all of them adjust to researching skywalkers, due to a major disparity between difficulty and price. # The number of sealmasters at each rank (generalities are fine, but at this level of granularity we probably care about the specifics too) #* Via Rihaku there are 3 Jounin, 10 Chunin, 17 Genin Sealmasters within Leaf. We are down either a Chunin or Genin due to the recent sealing failure. # Sell skywalkers to the Tower on credit? #* If the tower is desperate or hungry enough for more seals, they will. However, that required sealmasters to exhaust the budget for sealing, which is an unlikely scenario. # If the Tower owns the loan will they accept payments on the loan/principal in skywalkers? #* See selling skywalkers on credit. Mission # Mission pay. #* 500-2k for D rank (genin/genin teams learning to cooperate. Not meant to survive on.) #* 5k-20k for C rank (genin squads/single chuunin. Missions outside the village with minimal real combat expected) #* 50-200k for B rank (chuunin squads/lone special-Jounin, Combat with enemy ninja possible/expected. No higher-tier enemies expected. #* 500-2mill for A rank (This is the catch all for things that involve real, serious risk to the ninja taking them. Primarily higher-chuunin and Jounin mixed teams, with the hardest A's being entirely Jounin.) #* Variance inside a rank being based primarily time, except A rank where time and difficulty are both major factors. #* S rank are special enough their pay probably varies wildly from standard A rank to 10m+ per missions, so were left out of this analysis. # Do clanless non-jōnin sealmasters receive tax payments the same as the jōnin? #* The following is tentative: #* They are rare, and would certainly catch on to the tax scheme, so once they officially graduate to sealmaster they receive the tax payments. #* This is mostly an academic question, as they rarely collect meaningful amounts of their non-cash reimbursement, preferring to spend the time on seals. References